Posted by: Rod Kurtz on January 11, 2007

One of the first steps in establishing a home-based business idea is deciding which type of business entity you will set up. There are several different categories of business entities, and each one has distinctive plusses and minuses.

Reader Comments

Roger Goff

January 13, 2007 11:38 PM

While I agree that the choice of entity is an important first step in launching your business, the article doesn't really address the topic fully or accurately. Among other issues, it fails to discuss the implications of using partnerships, it mischaracterizes LLC's as being a type of corporation (which they are not), and it doesn't address any of the limitations of when each form of entity can be used.

While I appreciate that it is attractive to save costs by doing it yourself, I really have to urge readers to talk to an experienced corporate lawyer when starting their companies -- preferably one that understands small businesses. A good lawyer will be able to save you much more than you ever pay for his or her services.

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